THANKS FOR calling me for an upgrade on the international corporate-tax landscape. For global tech companies like yours, the headlines make fretting reading. A fragile transatlantic truce has actually been shattered. France has resumed collecting the digital-services tax it presented in 2019, targeting tech firms (and capturing others in the web). The outgoing Trump administration has lined up vindictive tariffs on $1.3 bn of chic French handbags, cosmetics and more, all set to shoot. If America acts, the European Union may strike back against American items of equivalent worth.
America grumbles that national tech taxes unjustly target its digital giants. Such levies, usually 2-3%of local sales, are spreading as federal governments try to claw back taxing rights lost in a dysfunctional worldwide system.
You do not require me to inform you that this is just one front on which big tech is being assailed, alongside alleged anticompetitive behaviour, the handling of user information and the policing of speech. Staff members are growing restless, too. I envision you saw this week’s news from throughout town about Alphabet’s geeks forming a union.
Amid this attack, it is …